Although virtual reality (VR) has had a rocky, but predicable, start, by 2020, the virtual reality market will be worth 20 times what it was in 2016 – a whopping $37.7 billion — according to a new report from SuperData. This year, the emerging market will grow to a considerable $4.9 billion, driven largely by hardware with software getting its footing.
Supply constraints limited access to headsets like the Oculus Rift in 2016, holding back both hardware and software revenue, but these issues have largely been resolved. Greater availability of both headsets and compelling content will drive consumers to spend more this year.
However, the market is solidifying as consumers become increasingly aware of, and comfortable with, the devices. Light mobile headsets like Google’s Cardboard will see 30 percent reduction in shipments in 2017, while premium devices will triple.
Greater penetration of quality devices will open this massive new audience to a swath of new content and applications. The challenge for content creators, then, is understanding who the audience is and what they want.
The new report, driven by SuperData’s VR Data Network dives into the where the market is, where it’s going, and how stakeholders can best position their content and strategy. Findings on this growing consumer base include:
- Eighty-three percent of PC VR users have the space for room-scale virtual reality.
- Male millennials are most likely to use console headsets over any other device (52 percent) since three-in four are gamers.
- Forty-eight percent of women over 35 try headsets at home, often using a family member’s device.
- Retail demos are the most popular way American consumers become interested in VR before buying.
(For more information visit: www.superdataresearch.com).